Business Loans > Small Business Administration 504
How An SBA Loan Can Help You Grow Your Business
Local businesses drive local communities. That’s why Coastal is proud to partner with the U.S. Small Business Administration (SBA) to ensure you can compete and succeed. We offer low down payment, low long-term fixed rate, up to 25-year term loans to those who want to start, purchase, grow or refinance their business.
Advantages of SBA 504 Financing over Conventional Bank Financing:
Streamlined loan process from underwriting to approval
Low fixed (life of loan) interest rates for 10-, 20- and 25-year terms
As low as 10% down payment, which preserves your business’ working capital
Minimum of 51% owner occupied, if a real estate transaction
Longer repayment terms, up to 25 years for commercial real estate and up to 10 years on equipment
No balloon payments
Cash out debt refi
Projects from $150,000 to $25 million
How does it work? Coastal will work with a bank of your choice to finance up to 90% of your project. This includes a bank loan for 50% of the project, the SBA for 40% and your down payment for 10%. Don’t have a bank? We can help with that.
What are the terms?
10-year term for equipment and 20- to 25-year term for commercial real estate, ensuring no balloon payments.
Interest rates are low and fixed for the life of the loan.
New construction and renovation
Refinance existing debt
Contractor warehouse buildings (landscapers, builders, etc.)
Office buildings, including condos
Heavy machinery, including vessels
And many others
Stay Informed: Receive the latest 504 and small business lending information through e-alerts.
The rates are for loans approved and funded after October 1, 2018; SBA has waived the upfront guaranty fee and reduced the annual service fee.
Rates are the all-in rates, which are calculated by adding the note rate and servicing fees.